UK inflation rises to 3.5% in September as fuel costs surge
UK annual inflation climbed to 3.5% in September according to the Office for National Statistics.
Fuel prices drive rate increase
The rise in consumer prices was caused mainly by higher costs for motor fuels. Petrol prices increased by 8.2p a litre while diesel rose by 10.7p a litre between August and September 2026. These price jumps pushed the annual inflation rate up from 3.1% to 3.5%.
Global conflict disrupts supply lines
Oil and gas prices have climbed since February when fighting began between the US, Israel and Iran. Attacks on infrastructure in Ukraine and Russia also hampered global refining capacity. The effective closure of the Strait of Hormuz further squeezed global oil supplies.
Borrowing hits yearly high
Government borrowing reached nearly £25bn in September, making it the highest level for a year. This figure means total borrowing for the financial year is running six billion pounds above official forecasts. The Bank of England will likely raise interest rates from 3.7% when they meet next month.
All 2 outlets report consistently
No differences in figures, names or dates across these reports.
- The Guardian
- BBC News
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